Deed of Indemnity by the
Partner Retaining Assets and Liabilities to a Partner on the Dissolution of the
Partnership Firm
This Deed of
indemnity made at .................... on this ................ day of
....................., 2000, between A son of Shri ................ resident of
................................... (hereinafter referred to as "A")
of the One Part and B son of Shri ........................ resident of
..................................... (hereinafter referred to as "B') of
the Other Part.
Whereas A and B had
entered into a partnership by a deed of partnership dated .................. to
carry on the business of ...... under the name and style of M/s.
.................................. at ...........
And Whereas certain
disputes and differences arose between A and B and A and B decided to dissolve
the said partnership.
And Whereas A and B
dissolved the said partnership with effect from vide Deed of Dissolution dated
.................
And Whereas under the
said dissolution deed, A has taken Rs. ............... as his share, for which
he had issued receipt and discharged 8 of and from all his claims and every
part thereof in the assets of the partnership and B has retained the assets of
the partnership including goodwill, stock-in-trade valued at Rs. ............
and has agreed to discharge the debts and liabilities of the partnership valued
at Rs. ................
And Whereas the
partners by a public notice dated ................... published in
............................. and ..................... in their issues dated
................. have notified about the dissolution of partnership and
vesting of assets and liabilities of the partnership in the said B from the
date of dissolution of the partnership.
And Whereas the said
A has requested B to indemnity the said A from any claim which may be made
against him by the creditors of the partnership, to which f3 has agreed.
Now This Deed
Witnesses That;
1. In pursuance of
the said agreement and in consideration of the premises, the said B hereby
agrees to indemnify and keep indemnified the said A, his heirs, successors or
assigns from and against all claims, demands, actions, proceedings, losses,
damages, recoveries, judgments, costs, charges and expenses which may be made
or brought or commenced against the said A or his heirs, successors or assigns
or which the said A or his heirs, successors or assigns may or may have to
bear, pay, or suffer directly or indirectly on account of the debts and
liabilities of the said dissolved partnership for the period upto the date of
dissolution and thereafter.
2. The said B hereby
covenants that he shall pay the income-tax, sales tax in respect of the
partnership business upto the date of dissolution, but A shall be liable to pay
income-tax on his income as a partner up to the date of dissolution of the
partnership and liability on that account is not covered by indemnity herein
contained.
IN WITNESS WHEREOF,
the parties hereto have signed these presents on the day, and year hereinabove
written.
Signed and delivered
by the within named A
Signed and delivered
by the within named B
WITNESSES;
1.
2.
